The Enforcement Directorate (ED) on Tuesday arrested Lalit Goyal, the vice chairman and managing director of real estate group IREO, in connection with a money laundering probe linked to alleged diversion of home buyers' funds to the tune of Rs 2,600 crore. The agency claimed the businessman was "non-cooperative and did not divulge any relevant information" during questioning and hence, was taken into custody under provisions of the Prevention of Money Laundering Act (PMLA) in Chandigarh.
A local court later remanded him to seven days of ED custody, it said. Goyal was stopped by immigration authorities last Thursday (November 11) at the Indira Gandhi International (IGI) Airport "while he was trying to leave the country".
The action was taken by immigration officials on the basis of an ED lookout circular issued against him. Goyal, whose sister is married to BJP leader Sudhanshu Mittal, was questioned at the airport and detained by the agency following which he was being questioned in Chandigarh.
The ED said its criminal investigation against Goyal is based on FIRs filed by Panchkula Police in Haryana and also by the Economic Offences Wing (EOW) of the Delhi Police against companies like IREO Private Limited and IREO Fiveriver Private Limited, and Lalit Goyal and others. The ED said the group adopted a modus operandi that included "routing of funds from various entities based in tax haven countries like British Virgin Islands (BVI), Mauritius etc, diversion of funds by way of buy back of equity shares, recording of fictitious expenses in the books of accounts, writing off project in progress, loans and advances to sister concerns and round tripping of funds through shell companies".
"Total funds involved are over Rs 2,600 crore, part of which is proceeds of crime," it alleged. Goyal, it said, is "settler and named beneficiary of a Guernsey-based overseas Trust, which owns and controls entities holding assets outside India".
It said the recent 'Pandora Papers' global leaks of offshore assets holdings by individuals and firms "also named four entities (which are beneficially owned by Lalit Goyal) having registered address in BVI and holding assets having value more than USD 77.73 million (about Rs 575 crore)". The businessman and his legal team had earlier denied any illegalities on their part and had said no funds were diverted abroad in violation of laws.
(Edited by : Aditi Gautam)